Question : Which component of GDP includes government spending on infrastructure and defense?

Option 1: Consumption expenditure

Option 2: Investment expenditure

Option 3: Government expenditure

Option 4: Net exports

Question : In an open economy, aggregate demand is estimated as:

Option 1: Private consumption expenditure
 

Option 2: Private consumption expenditure + Government expenditure
  

Option 3: Private investment expenditure + Private consumption expenditure + Government expenditure

Option 4: Private consumption expenditure + Private investment expenditure + Government expenditure + Net exports

Question : Change in stock is zero when 

Option 1: Private final consumption expenditure = Government final consumption expenditure.
 

Option 2: Gross domestic capital formation = Gross domestic fixed capital formation.
 

Option 3: Government final consumption expenditure = Gross domestic fixed capital formation.
 

Option 4: Net exports= Exports-Imports

Question : Higher the disposable income, higher is ___________ expenditure.
 

Option 1: Consumption expenditure.
 

Option 2: Government expenditure.
 

Option 3: Investment expenditure.
 

Option 4: Net exports
 

Question : Which of the following is not a component of aggregate demand?

Option 1: Consumption expenditure
 

Option 2: Investment expenditure
 

Option 3: Government expenditure

Option 4: Savings